Powering the nation:
Smart grid careers
O
ur nation’s energy needs have
increased tremendously, especially
in the last few decades. But the
basic system for transmitting and distributing
electricity hasn’t changed in more than a century. Modernizing the system through “smart
grid” technology not only improves the way
we store and get power, it provides jobs for
workers who have the right training.
Population growth, an increase in home
size and air conditioning, and the proliferation of computers and other electronics are
among the factors driving growth in demand
for electricity in recent decades. According to
the U.S. Department of Energy, since 1982,
growth in peak demand for electricity has outpaced growth in power transmission by almost
25 percent each year.
The current power grid—the network
for distributing electricity from the power
source to consumers—evolved during the late
19th and early 20th centuries. The grid was
designed to route power to consumers through
high-voltage lines from a small number of
powerplants located far from population centers. The amount of power generated at any
time was based on overall demand and did not
account for fluctuations in use. Because of the
high cost and risks associated with making
large-scale changes, however, little had been
done to the existing power grid since it was
first created.
Until now. Smart grid technology (the
smart grid), in early stages of implementation
nationwide, allows utilities and other electricity suppliers to constantly monitor electricity
flow and adjust its distribution for maximum
efficiency. In addition, the smart grid makes
better use of energy generated from alternative sources, such as from solar panels, wind
turbines, and other energy-generating systems,
through improved storage and transmission.
This article describes career fields related
to the smart grid. The first section explains
our electricity transmission by the current
power grid and how the smart grid improves
upon that method. The second section briefly
describes some of the key occupations in the
smart grid, including those in the computer;
engineering; installation, maintenance, and
repair; and production occupational groups.
The third section summarizes the credentials,
such as education, training, and certification
or licensure, that you need to work in these
occupations. Sources of more information are
provided at the end.
From functional
to efficient:
Updating the grid
The electricity we use comes from a variety
of sources, including coal, nuclear power,
and natural gas. Powerplants generate electricity from these sources and transmit it to
homes, businesses, and other structures, such
as streetlights. In the grid system, electricity
moves from powerplants through high-voltage
lines to distribution stations and on to consumers.
Smart grid technology improves upon the
current grid. Modernizing the current power
grid should create a more efficient, reliable,
and flexible system for supplying electricity.
The current power grid
The current power grid is made up of networks that include wires, switches, transformers, substations, and other equipment.
Originally built as local grids, these networks
eventually were connected into a national
power grid during the 1960s. But this system
was based on demand from large population
centers as a whole and is unreliable for current
needs. For example, when electricity demand
increases during certain times of the year,
some powerplants can’t keep up; the result
may be brownouts or blackouts, the partial or
full loss of power.
Over the past 50 years, the current power
grid has not kept up with changes in demand
based, in part, on advances in technology,
such as household appliances and lights
that shut down during peak periods of electricity use. The current grid is inadequate
for development, too: it cannot adequately
James
Hamilton
James Hamilton
is an economist
in the Office of
Current Employment Analysis,
BLS. He is available at (202) 6917877 or hamilton.
[email protected].
www.bls.gov/ooq • Fall 2013
27
accommodate the increased use of alternative power sources, including solar and wind
energy, which have intermittent supply.
The smart grid
The smart grid is a digitally enhanced network that uses computer-based remote control
and automation to increase the efficiency of
the current power grid. These systems employ
two-way communication technology and computer processing used in other industries, such
as telecommunications.
A key feature of the smart grid is automation that allows the utilities to adjust and
control each device from a central location.
Each device on the smart grid can gather data
and communicate digitally with the utility
operations center. The smart grid also helps
power generation move toward the use of a
more green technology.
Green technology. The smart grid is
vital to a green economy because it promotes
viability of environmentally friendly technologies, such as renewable energy sources. For
example, smart grid technology allows more
Smart grid technology
promotes the use of
renewable energy
sources, such as
solar power.
28 Occupational Outlook Quarterly • Fall 2013
electricity to be generated by intermittent
sources, such as wind and solar power, and to
switch to traditional sources, such as coal and
natural gas, when renewable-energy plants
cannot provide enough power.
Technologies that make up the smart grid
include advanced metering infrastructure,
commonly known in the industry as AMI;
electricity distribution systems; electricity
transmission systems; and energy storage
capabilities. Together, these technologies
enable providers to adjust the amount of
electricity generated and to redirect it to meet
changes in demand throughout the day.
Advanced metering infrastructure allows
electricity providers to monitor power use
continuously. Smart meters installed in homes
and businesses measure real-time electricity use and transmit the data to the provider,
which can modify power generation accordingly.
Electricity distribution systems provide
real-time monitoring and intelligent computer
control. Monitoring and control allow operators to detect problems with the grid, such as
power outages, and to dispatch repair crews
immediately to minimize the time consumers
are without power.
Electricity transmission systems allow
power to be sent to areas where it is needed
most, when it is needed most. These improved
transmission systems divert electricity from
areas of low demand and reroute it to areas
with high demand, as needed.
Energy storage capabilities are an important part of integrating renewable power
sources. Because renewable sources do not
supply electricity continuously, they may not
be effective during certain times of the day.
For example, if the wind is blowing at night,
wind turbines produce power that is unlikely
to be used during this low-demand period. But
improved energy storage prevents this energy
from being wasted, by providing a way to save
the excess for use when demand is higher.
Putting smart grid into practice. Smart
grid technologies are beginning to be used
on electricity networks from powerplants to
substations and on to consumers in homes and
businesses.
Federal law supports modernizing the
current power grid to meet future electricity
demand. Among other provisions, the law
authorizes smart grid technology research,
development, demonstration, and funding.
The U.S. Department of Energy has a number
of projects and studies related to smart grid
development, as does nearly every state.
However, states are inconsistent in smart
grid application. For example, according to
the MIT Technology Review, states such as
California and Texas have begun to install
equipment but have not yet completed the
network required for the grid to fully function.
As of June 2013, only Florida has a largescale, comprehensive smart grid operating.
Advanced metering infrastructure technology is furthest along in implementation.
According to the U.S. Energy Information
Administration, electric utilities had installed
more than 37 million smart meters in the
United States in 2011. Most of these—about
33.5 million—were residential installations by
investor-owned utilities.
Improved energy
transmission systems
allow electricity to be
rerouted to where it is
needed most.
Occupations in
smart grid work
According to the U.S. Department of Energy,
companies producing technology and offering
services related to the smart grid include communications firms and new and established
technology firms.
Implementing the smart grid requires
many workers in various occupations. And
after the smart grid is set up, other workers
will be needed to operate and maintain it.
Work related to the smart grid is expected to
result in about 280,000 new positions, according to energy consulting firm DNV KEMA.
These jobs span several occupational groups
and include engineers, technicians, and construction workers. In addition to employment
with utilities, many workers will be hired by
suppliers and contractors.
The U.S. Bureau of Labor Statistics (BLS)
does not collect employment or wage data
www.bls.gov/ooq • Fall 2013
29
specifically for occupations related to the
smart grid. The table below shows the May
2012 employment and wages for occupations
related to smart grid work, primarily in the
electric power generation, transmission, and
distribution industry.
Computer and mathematical occupations
One of the defining characteristics of the
smart grid is increased computer control and
automation. As a result, computer systems
analysts, network and computer systems
administrators, operations research analysts,
and software developers are needed to create,
operate, and maintain the computer systems
that the smart grid uses.
Workers in these occupations spend most
of their time indoors working with computers. They are usually employed by utilities,
technology firms, or government agencies
Employment and wages for selected occupations related to the smart grid, May 20121
Occupation
Employment
Median
annual wage2
Computer and mathematical occupations
Computer systems analysts
2,090
$88,820
Network and computer systems administrators
1,720
74,930
Operations research analysts
380
75,170
Software developers, systems software
580
91,050
14,780
85,350
310
75,980
6,840
65,160
Electrical and electronics repairers, powerhouse, substation, and relay
16,520
69,120
Electrical power-line intallers and repairers
57,540
65,690
130
70,370
197,500
28,810
6,740
71,200
30,060
67,010
Electricians
6,810
61,160
Meter readers, utilities
8,860
44,380
50
71,180
Architecture and engineering occupations
Electrical engineers
Electronics engineers, except computer
Electrical and electronics engineering technicians
Installation, maintenance, and repair occupations
Telecommunications equipment installers and repairers, except line installers
Production occupations
Electrical and electronic equipment assemblers3
Power distributors and dispatchers
Power plant operators
Other occupations
Urban and regional planners
BLS does not have employment and wage data specifically for smart grid occupations. Except where specified, these
data are for occupations in the electric power generation, transmission, and distribution industry. Data are for wage
and salary workers only and do not include the self-employed.
2
Data are for the United States as a whole; wages vary by employer and location. In addition, these wage data do not
include benefits.
3
Data are not available for electrical and electronic equipment assemblers in the electric power generation,
transmission, and distribution industry. These data represent employment and wages for the occupation as a whole.
Source: U.S. Bureau of Labor Statistics (BLS), Occupational Employment Statistics.
1
30 Occupational Outlook Quarterly • Fall 2013
and may work in offices or in a control center.
Network administrators may be required to
travel to different locations to troubleshoot
and fix problems.
Computer systems analysts have a variety
of roles. They may specialize in helping select
the appropriate system hardware or in developing and fine-tuning systems. They could
work with computer programmers to debug,
eliminate errors from, or do in-depth testing
of the systems. Because the smart grid relies
more on computer control than the current grid, computer systems analysts will be
needed to help build these systems and manage them once they are operating.
Network and computer systems administrators install and maintain an organization’s
computer systems. Many components of the
smart grid depend on reliable computer networks to operate, so these workers are needed
to ensure that computer systems function
properly and that problems are fixed rapidly.
Operations research analysts formulate
and apply analytical methods from mathematics, science, and engineering to develop
and interpret information. They reduce the
complexity of resource management to help
utilities make better decisions and to improve
efficiency. Using sophisticated software, these
workers solve problems and are often involved
in planning and forecasting. For example, they
may predict future electricity needs so that
power generation and transmission capacity is
developed before it is needed.
Software developers design, test, and
evaluate the applications and systems that
make computers work. The computer systems
that run the smart grid require specialized
software. Software developers are needed to
create this software and to modify it to suit
each electric utility’s individual needs.
Architecture and engineering occupations
Engineers apply science and mathematics to
develop economical solutions to technical
problems. Many engineers specify requirements and then design, test, and integrate
components to produce designs for new
products. After the design phase, engineers
evaluate a design’s effectiveness, cost, reliability, and safety. Electrical engineers, electronics engineers, and electrical and electronics
engineering technicians are needed in smart
grid work.
Most engineers and engineering technicians work indoors, usually in an office or
laboratory. For smart grid work, they use
computers extensively to produce and analyze
designs and for simulating and testing systems. Engineering technicians assist engineers with designing, developing, and testing
quality-control products and processes. Engineers and technicians are typically employed
by electric utilities, government agencies, or
construction firms.
Engineers in smart grid
jobs use computers to
produce and analyze
designs.
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Electrical engineers design, test, and
supervise manufacturing and construction of
electrical equipment, including power generation, communications systems, control, and
transmission devices. In smart grid work,
electrical engineers typically focus on power
generation and supply.
Electronics engineers work on applications for a range of smart grid technologies,
including control systems that monitor how
much electricity is being used at certain locations and systems that monitor electricity produced at generating stations, solar panels, or
wind turbines. They also design and develop
control systems for powerplants.
Electrical and electronics engineering
technicians help design, develop, test, and
make electrical and electronic equipment.
Technicians may test and evaluate products,
using measuring and diagnostic devices
to adjust and to repair equipment. Many
engineering technicians assist engineers in
researching and developing electric and electronic equipment for smart grids.
Installation, maintenance, and
repair occupations
Telecommunications workers install, maintain, and upgrade the communications
Electrical power-line
installers and repairers
build and maintain the
smart grid.
equipment that controls a smart grid. They
are employed by powerplants and utilities,
and job tasks vary based on where they work.
For example, line installers and repairers
employed by utilities maintain low-voltage
distribution lines and equipment such as transformers, voltage regulators, and switches.
Line workers travel with a crew to maintain smart grid transmission lines and towers
throughout a region. Some occupations are
dangerous because workers must be close
to high-voltage electricity or high above the
ground to do certain job tasks.
Electrical and electronics repairers fix
equipment used in generating and delivering
electricity. Electrical equipment generally
refers to what is used to generate or supply electricity, including transformers and
switches; electronic equipment is used to
control devices, such as those that monitor and
adjust the flow of electricity based on demand
in a given area. Repairers troubleshoot problems and fix damaged or broken equipment.
Electrical power-line installers and
repairers build and maintain the smart grid.
They routinely work with high-voltage electricity, which requires extreme caution. They
inspect and test power lines and other equipment and install power lines between poles,
towers, and buildings.
Telecommunications equipment installers and repairers have a range of duties that
varies by the type of work they do and where
they work. Most work outdoors to install and
repair smart grid equipment that transmits
data to utility control centers and computers
that monitor electricity supply and demand.
Production occupations
Operating the smart grid requires new equipment for generating plants and substations to
handle increased capacity. Other plants and
substations must be upgraded with smart grid
technologies. Equipment assemblers, power
distributors and dispatchers, and power plant
operators are needed to prepare and control
these smart grid facilities.
32 Occupational Outlook Quarterly • Fall 2013
These workers spend time indoors in
factories, offices, operations centers, or powerplants.
Electrical and electronic equipment
assemblers construct the equipment used in
the smart grid. They assemble components of
smart meters and other equipment used in the
real-time monitoring of electricity demand.
Some of their job tasks are repetitive.
Power distributors and dispatchers control the flow of electricity through transmission lines to industrial plants and substations,
which in turn supply residents and businesses.
They operate electrical current converters,
voltage transformers, and circuit breakers.
They also monitor other distribution equipment and record readings at a map board,
a diagram of the smart grid that shows the
status of transmission circuits and connections
with substations and industrial plants.
Power plant operators in powergenerating plants control and monitor equipment, such as boilers, turbines, generators,
and auxiliary equipment. They regulate the
output from generators and monitor instruments to adjust electricity flow from the plant.
When demand changes, power plant operators
communicate with dispatchers at distribution
centers to match production with system loads
and alter electricity output, as needed.
Other occupations
Among the other occupations in smart grid
work are electricians, meter readers, and
urban and regional planners. Electricians
install smart meters and other equipment at
homes and businesses. Meter readers’ occupation will undergo transformation with smart
grid implementation, and their jobs are likely
to change. Urban and regional planners are
important in the analysis and arrangement of
the power grid.
Electricians install and maintain electrical systems for homes and businesses, working with electrical wiring and control equipment. Electricians who work with smart grid
technologies install smart meters and must be
familiar with smart appliances, lighting, and
other technologies associated with the smart
grid.
Electricians usually work indoors, often in
cramped spaces, and may spend a lot of time
Electricians in smart grid
jobs must be familiar
with other technologies
associated with the
smart grid.
www.bls.gov/ooq • Fall 2013
33
kneeling, lifting, or standing. Most electricians work for electrical contractors and other
wiring installation contractors, but some are
self-employed.
Meter readers will be heavily affected by
the implementation of the smart grid. Meters
for the current grid are attached to houses and
other buildings, where they must be periodically read and recorded by a meter reader.
But the smart grid relies on advanced metering infrastructure—automation that does not
require meter reading as it currently exists. As
a result, meter readers need to be retrained for
another occupation.
Meter readers work mostly outdoors, driving or walking around neighborhoods. They
are employed primarily by utilities.
Urban and regional planners develop
long- and short-term plans for land use and
community growth. They recommend to local
officials infrastructure and zoning locations,
which requires forecasting population needs.
In smart grid work, they determine a community’s electricity requirements based on its
industries, population, and employment and
economic trends. This information helps local
and regional utilities in developing the smart
grid.
Most urban and regional planners work in
offices, usually for state or local governments.
For some smart grid
jobs, workers may
already have many of
the skills they need,
such as proficiency
with computers.
34 Occupational Outlook Quarterly • Fall 2013
Training for
smart grid jobs
To prepare for smart grid jobs, some workers,
including electrical engineers, already have
many of the skills they need but will require
additional training to transition to the new
technologies. Other workers, such as meter
readers, need extensive retraining to gain
more diverse, higher level skills for new smart
grid jobs.
This section describes the basic credentials needed for workers in occupations
covered in the previous section. Specific training required for smart grid positions vary by
employer.
Computer occupations
Training for workers in computer jobs span a
range of requirements, from professional certification through a graduate degree—sometimes within a single occupation.
Computer systems analysts and network
and computer systems administrators often
need a bachelor’s degree, although an associate’s degree or professional certification plus
work experience may be adequate for some
jobs. Most systems administrators begin as
computer support specialists before advancing
to administrator positions.
Network and computer system administrators can enhance their employment opportunities by earning certifications, which are
offered through product vendors, computer
associations, and other training institutions.
Many employers regard these certifications as
the industry standard and sometimes require
them. Because technology changes rapidly,
computer specialists must complete periodic
training to stay abreast of the latest developments.
Operations research analysts must have
a bachelor’s degree that includes extensive
coursework in mathematics and other quantitative subjects. But many employers prefer to
hire candidates who have a master’s degree
in operations research, management science,
or a related field—such as computer science,
engineering, business, applied mathematics, or information systems. Dual graduate
degrees in operations research and computer
science make candidates especially attractive
to employers.
Continuing education is important for
operations research analysts. Keeping up to
date with technological advances, software
tools, and improvements in analytical methods
is vital for maintaining problem-solving skills.
Software developers commonly need a
bachelor’s degree, although for some positions employers may prefer to hire candidates
who have a master’s degree. For other jobs, an
associate’s degree or certificate is adequate.
Employers favor job candidates who have
relevant skills and experience. Workers who
keep current with the latest technology usually
have the best opportunities for advancement.
Engineering occupations
Engineers typically have a bachelor’s degree
in engineering. Because of the complexity of
some systems, however, a significant number of employers require candidates to have
a master’s or doctoral degree. Engineers are
expected to complete continuing education
and to keep up with rapidly changing technology.
Certifications are usually required and
depend on the systems used by a particular
manufacturer or utility. Licensure as a professional engineer is often required, depending
on an engineer’s specialty.
Entry-level engineers may be hired as
interns or junior team members and work
under the supervision of senior engineers. As
they gain experience, entry-level engineers are
assigned more complex tasks and gain independence to develop leadership skills.
Electrical and electronics engineering
technicians usually have an associate’s degree
or certificate from a community college or
technical school. Technicians participate
in on-the-job training for several months,
depending on their specialty and employer,
and are supervised by engineers.
Installation, maintenance, and
repair occupations
Depending on the occupation, installation,
maintenance, and repair workers either have
formal education or train on the job.
Electrical and electronics repairers must
be knowledgeable about electrical equipment
and electronics. Employers often prefer to hire
candidates who have an associate’s degree
from a community college or technical school,
although a high school diploma is sufficient
for some jobs. Entry-level repairers may begin
by working under the guidance of experienced
technicians and work independently after
developing their skills.
Electrical power-line installers and
repairers get most of their training on the job.
Most employers require candidates to have a
high school diploma or equivalent, along with
basic knowledge of algebra and trigonometry
and good reading and writing skills.
Line installers and repairers often must
complete formal apprenticeships or other
training programs. These programs, which
can last up to 5 years, combine on-the-job
training with technical instruction. Safety
regulations define the training and educational
requirements for apprentice electrical line
installers, but licensure is not required.
Telecommunications equipment installers and repairers usually need postsecondary
education. Many community colleges offer
www.bls.gov/ooq • Fall 2013
35
programs in telecommunications, electronics, or electricity. Some programs work with
local companies to offer 1-year certificates
that emphasize hands-on fieldwork. More
advanced 2-year associate’s degree programs
offer courses in electricity, electronics, fiber
optics, and microwave transmission.
Production occupations
Workers in these production occupations
should have at least a high school diploma or
equivalent, but they also may need skills and
experience or other training.
Electrical and electronic equipment
assemblers usually have a high school
diploma or equivalent and are trained on the
job for a few weeks to several months. Some
employers prefer to hire assemblers who have
some training or experience working with
electrical or electronic equipment, either
through previous employment or from training
at a community college or technical school.
Powerplant workers, including distributors, dispatchers and operators, generally
need a combination of education, on-the-job
Powerplant workers
generally need a
combination of
education, on-the-job
training, and experience.
36 Occupational Outlook Quarterly • Fall 2013
training, and experience. Power plant operators need strong mechanical, technical, and
computer skills. Workers in jobs that could
affect the power grid must have certification
from the North American Electric Reliability
Corporation. For highly technical jobs, workers need a strong math and science background.
Because of security concerns, many
power plant operators are subject to background investigations and must not have a
criminal record. They also must be willing to
submit to random drug testing.
Other occupations
Training requirements vary for electricians,
meter readers, and urban and regional planners.
Electricians train through supervised
apprenticeships administered by technical
schools and community colleges. Apprenticeships usually consist of 4 or 5 years of paid
on-the-job training and at least 144 hours of
related technical instruction per year. Applicants for apprenticeships must be at least 18
years old and in good physical condition.
Drug tests may be required, and most apprenticeship programs ask that applicants have at
least a high school diploma or equivalent.
Most states require electricians to be
licensed. Licensing requirements vary, but
states commonly require 2 to 5 years of experience, followed by a test of knowledge about
the trade and local codes.
Meter readers usually need a high school
diploma and a valid driver’s license. Jobs in
this occupation will be difficult to find as
the smart grid is developed, however. Meter
readers will need to be retrained to work in
another occupation.
Urban and regional planners typically
have at least a master’s degree in urban or
regional planning or a related field. Some
urban and regional planners may earn professional certification with the appropriate
combination of education and professional
experience and by passing an examination.
For more information
This article describes some of the occupations related to smart grid technologies. To
learn more about these and other occupations
related to electric power, see the BLS Occupational Outlook Handbook (OOH), www.
bls.gov/ooh. The OOH describes hundreds
of occupations in dozens of industries and
includes details about employment, wages,
education and training requirements, and job
outlook.
The BLS Occupational Employment
Statistics (OES) program provides employment and wage data for occupations nationally and by industry and geographic location.
Additionally, you can create customized tables
by industry and geographic area. See the OES
occupation profiles at www.bls.gov/oes/
current/oes_stru.htm.
In addition to this article, BLS has published other information about green careers.
See www.bls.gov/green/greencareers.htm.
Preparing for smart grid jobs may require
additional training for workers in existing
occupations. The Occupational Outlook
Quarterly (OOQ) has published a number of
recent articles on topics related to education
and training, including:
• “Apprenticeship: Earn while you learn,”
www.bls.gov/ooq/2013/summer/
art01.pdf
• “Certificates: A fast track to careers,”
www.bls.gov/ooq/2012/winter/art01.
pdf
• “High wages after high school—without a bachelor’s degree,” www.bls.gov/
ooq/2012/summer/art03.pdf
• “Paving the occupational path: A new
system for assigning education and
training,” www.bls.gov/ooq/2011/fall/
art02.pdf
To find Energy Department-sponsored
training programs related to all levels of smart grid development, visit the
Smart Grid Information Clearinghouse at
www.sgiclearinghouse.org/education. In
addition to information about degree and
nondegree programs, the clearinghouse offers
links to short courses, webinars, and tutorials
from other providers.
For general information about the smart
grid, including government-sponsored smart
grid projects, visit the U.S. Department of
Energy site www.smartgrid.gov.
www.bls.gov/ooq • Fall 2013
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